Financial services group Mitsubishi UFJ is investing up to ¥80bn ($714m) in Grab, the Singapore-based ride hailing and financial technology platform already backed by a host of corporates, Nikkei reported yesterday.
Formerly known as GrabTaxi, Grab operates an on-demand ride service spanning more than 500 towns and cities across Southeast Asia. It has diversified into package and food delivery and is building out a fintech offering through a subsidiary called Grab Financial Group.
Mitsubishi UFJ’s investment is being made in connection with a strategic partnership that will involve the companies jointly developing a consumer lending and insurance app.
The report did not confirm whether the funding will be added to Grab’s ongoing series H round, which stood at $4.8bn prior to an investment of undisclosed size by Experian Ventures, the corporate venture capital vehicle for credit rating provider Experian, in July 2019.
Investment manager Invesco had supplied $300m the previous month, taking Grab’s overall funding to $7.5bn. It had put forth a $6.5bn target for the round and intended to complete it by the end of 2019 but has not announced an official close.
Internet and telecommunications group SoftBank’s Vision Fund put up $1.46bn for the round, Toyota invested $1bn, fellow carmakers Hyundai and Kia Motors provided $250m and online travel agency Booking Holdings supplied $200m.
The round’s other participants include Ping An Capital, a subsidiary of insurance firm Ping An, and fellow corporates Yamaha, Microsoft, Central Group and Tokyo Century, as well as Mirae Asset – Naver Asia Growth Fund, Kasikornbank, Macquarie Capital, Cinda Sino-Rock Investment Management, All-Stars Investment, Vulcan Capital and Lightspeed Venture Partners.
Grab’s earlier backers include on-demand ride service Didi Chuxing, travel booking platform Qunar, GGV Capital, Tiger Global Management, Vertex Ventures, Hillhouse Capital, China Investment Corporation and Coatue Management.
